u.s. nuclear regulatory commission · 2012. 11. 21. · 5 irs form 8824, “like-kind exchanges”...

TN: DT-06-03

To: NRC Management Directives Custodians

Subject: Transmittal of Management Directive 7.7, "SecurityOwnership"

Purpose: Directive and Handbook 7.7 are being revised to (1) updateExhibit 1, the list of employee positions subject to the NRCprohibited securities restriction; (2) revise the policies for anemployee’s obtaining a Certificate of Divestiture to defercapital gains taxes from the sale of prohibited securities, inaccordance with the recently revised Office of GovernmentEthics regulations; (3) substitute the most recent IRS Form8824 for the current version in Exhibit 5; and (4) substitutea revised Security Ownership Certification (Exhibit 2), whichonly changes the OGC mailing address.

Office of Origin: Office of the General Counsel

Contact: John Szabo, 301-415-1610

Date Approved: September 12, 2002 (Revised: January 27, 2006)

Volume: 7 Legal and Ethical Guidelines

Directive: 7.7 Security Ownership

U.S. NUCLEAR REGULATORY COMMISSION

DIRECTIVE TRANSMITTAL

OFFICE OF ADMINISTRATION

- 2 -

Availability: Rules and Directives BranchOffice of AdministrationMichael T. Lesar, 301-415-7163Christy Moore, 301-415-7086

Security Ownership

Directive7.7

Volume 7, Legal and Ethical GuidelinesSecurity Ownership

Directive 7.7

Approved: September 12, 2002 iii(Revised: January 27, 2006)

Contents

Policy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Organizational Responsibilities andDelegations of Authority . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2Chairman . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2General Counsel (GC) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2Executive Director for Operations (EDO) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3Director, Office of Human Resources (HR) . . . . . . . . . . . . . . . . . . . . . . . . . . . 3Office Directors and Regional Administrators . . . . . . . . . . . . . . . . . . . . . . . . . 4

Applicability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Definitions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Handbook . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

References . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Approved: September 12, 2002 1(Revised: January 27, 2006)

U. S. Nuclear Regulatory Commission

Volume: 7 Legal and Ethical Guidelines OGC

Security OwnershipDirective 7.7

Policy(7.7-01)

It is the policy of the U.S. Nuclear Regulatory Commission toprohibit NRC employees with substantive regulatoryresponsibilities from owning stocks, bonds, and other securityinterests issued by major entities in the commercial nuclear field.

Objectives(7.7-02)

• To identify those employees who are subject to the securityownership restriction. (021)

• To describe procedures for obtaining Certificates of Divestiture(see Exhibits 3 and 4 of Handbook 7.7). (022)

• To describe procedures for obtaining an exemption from thesecurity ownership restriction. (023)

• To describe procedures for certifying compliance with thesecurity ownership rules. (024)

• To describe procedures for identifying entities that are to beadded to, or deleted from, the published list of prohibitedsecurities. (025)

Volume 7, Legal and Ethical GuidelinesSecurity OwnershipDirective 7.7

2 Approved: September 12, 2002(Revised: January 27, 2006)

Organizational Responsibilities andDelegations of Authority(7.7-03)

Chairman(031)

• After consultation with the Office of the General Counsel(OGC), determines whether to waive the security ownershiprestriction or extend the period for divestiture in response to anemployee request. (a)

• As appropriate, consults with the other Commissioners beforeacting upon waiver requests. (b)

General Counsel (GC)(032)

• After consultation with the Executive Director for Operations(EDO), publishes a list of prohibited securities. (a)

• Recommends to the Chairman whether exemptions from thesecurity ownership restriction should be granted. (b)

• Drafts exemptions for the Chairman's review. (c)

• Transmits requests for Certificates of Divestiture to the Officeof Government Ethics (OGE). (d)

• Transmits to employees OGE determinations on requests forCertificates of Divestiture. (e)

• After consultation with the appropriate office director orregional administrator and any required EDO approval,updates and republishes, as needed, the list of positionscontained in Exhibit 1 of Handbook 7.7 and may add or delete


Directive 7.7


Organizational Responsibilities andDelegations of Authority(7.7-03) (continued)

General Counsel (GC)(032) (continued)

positions on that list based on a determination whether theemployees holding the positions have substantive regulatoryresponsibilities. (f)

• May delegate the above authorities to deputy counselors in theDivision of Legal Counsel, Legislation, and Special Projects,OGC. (g)

Executive Director forOperations (EDO)(033)

• Provides information to OGC on the entities that should beadded to, or deleted from, the list of prohibited securities. (a)

• Approves recommendations from office directors reporting tothe EDO, and regional administrators, after OGC consultation,for changes to the list of positions in Exhibit 1 of Handbook 7.7subject to the prohibited securities restriction. (b)

Director, Office of Human Resources (HR)(034)

Provides individuals subject to the security ownership restrictionwith copies of the list of prohibited securities and a securityownership certification (Exhibit 2 of Handbook 7.7) at the time anemployment offer is made or upon promotion to a position subjectto the restriction.



Organizational Responsibilities andDelegations of Authority(7.7-03) (continued)

Office Directors andRegional Administrators(035)

• For office directors reporting to the EDO and regionaladministrators, recommend to the EDO the positions ofemployees within their respective offices who meet the criteriafor being subject to the security ownership restriction. (a)

• For office directors who report directly to the Chairman or theCommission, approve the positions of employees within theirrespective offices who meet the criteria for being subject to thesecurity ownership restriction. (b)

Applicability(7.7-04)

This directive applies to all employees and special Governmentemployees subject to the security ownership restriction.

Definitions(7.7-05)

Employee. An NRC employee, a member of the Commission, ora special Government employee (unless otherwise indicated).

Securities. All interests in debts or equity instruments. The termincludes, without limitation, secured and unsecured bonds,debentures, notes, securitized assets and commercial paper, aswell as all types of preferred and common stock. The termencompasses both current and contingent ownership interests,including any beneficial or legal interest derived from a trust. Itextends to any right to acquire or dispose of any long orshort position in such securities and includes, without limitation,


Directive 7.7


Definitions(7.7-05) (continued)

interests convertible into such securities, as well as options, rights,warrants, puts, calls, and straddles, with respect thereto.

Special Government Employee. An NRC employee who isretained, designated, appointed, or employed to performtemporary duties either on a full-time or intermittent basis, with orwithout compensation, for a period not to exceed 130 days duringany period of 365 consecutive days. The term includes NRCconsultants, experts, and members of advisory committees butdoes not include a member of the uniformed services.

Handbook(7.7-06)

Handbook 7.7 contains the following information:

• Specific categories of NRC positions subject to the securityownership restriction (a)

• A list of the categories of entities whose securities may not beowned by employees in NRC positions subject to the securityownership restriction (b)

• Procedures for obtaining Certificates of Divestiture (c)

• Procedures for obtaining exemptions from the securityownership restriction (d)

• Procedures for certifying compliance with the securityownership rules (e)

References(7.7-07)

Code of Federal Regulations

Nuclear Regulatory Commission Supplemental Regulation:“Prohibited Securities,” 5 CFR 5801.102.



References(7.7-07) (continued)

“Executive Branch Financial Disclosure, Qualified Trusts, andCertificates of Divestiture,” 5 CFR Part 2634, Subpart J.

“Standards of Ethical Conduct for Employees of the ExecutiveBranch,” 5 CFR Part 2635.

United States Code

Internal Revenue Code (26 U.S.C. 851).

Investment Company Act of 1940 (15 U.S.C. 80a-1, et seq.).

Security Ownership

Handbook7.7


Handbook 7.7

Approved: September 12, 2002 iii(Revised: January 27, 2006)

Contents

Security Ownership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1Individuals Subject to the Security Ownership Restriction (A) . . . . . . . . . . . . . 1List of Prohibited Securities (B) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1Certification of Compliance With the Security Ownership

Restriction and Other Notifications (C) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3Divestiture of a Prohibited Security (D) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3Certificate of Divestiture (E) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4Waiver Requests (F) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

Exhibits1 NRC Positions Subject to the Security Ownership Restriction . . . . . . . . . . 102 Security Ownership Certification . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 153 Sample Certificate of Divestiture Issued by the Office of

Government Ethics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 164 Sample Employee Request for Certificate of Divestiture . . . . . . . . . . . . . . 175 IRS Form 8824, “Like-Kind Exchanges” . . . . . . . . . . . . . . . . . . . . . . . . . . . 18


Handbook 7.7


Security Ownership

Individuals Subject to the SecurityOwnership Restriction (A)

The following employees are subject to the security ownershiprestriction: (1)

• Commissioners and the Inspector General. (a)

• Members of the Senior Executive Service, Senior LevelSystem employees, and employees in the Offices of theCommissioners who file financial disclosure reports. (b)

• Members of the Advisory Committee on Nuclear Waste, theAdvisory Committee on Reactor Safeguards, and the AtomicSafety and Licensing Board Panel. (c)

• All NRC employees at grade GG-15 and below withsubstantive regulatory responsibilities who hold a position thathas been designated by Commission-level office directors orthe Executive Director for Operations (EDO), after consultationwith OGC. (Exhibit 1 is a list by office of each NRC positionthat has been so designated.) (d)

The spouses and minor children of employees listed in Sections(a) through (d) above are subject to the security ownershiprestriction. However, a spouse is not subject to the restriction ifliving separate and apart from the employee and there is anintention to end the marriage or to separate permanently. (2)

List of Prohibited Securities (B)

The Office of the General Counsel (OGC) will publish at least onceeach year a list of prohibited entities (“prohibited securities list”).Employees subject to the security ownership restriction, as well astheir spouses or minor children, are prohibited from owning any

Volume 7, Legal and Ethical GuidelinesSecurity OwnershipHandbook 7.7


List of Prohibited Securities (B) (continued)

securities issued by entities on this list. However, they may ownsecurities issued by any entity that is not on the prohibitedsecurities list (although the employee may be precluded fromproviding advice on matters affecting the entity pursuant to18 U.S.C. 208 and implementing regulations). Before publishingthe prohibited securities list, OGC will request and receiverecommendations from Commission-level office directors and theEDO on entities that should be added to or deleted from the list.The categories of entities on the prohibited securities list areidentified in 5 CFR 5801.102(b) as follows:

• Applicants for, or holders of, early site permits, constructionpermits, operating licenses, or combined construction permitsand operating licenses for facilities that generate electricenergy by means of a nuclear reactor. (1)

• State or local governments, if the primary purpose of thesecurity is to finance the construction or operations of a nuclearreactor or a low-level waste facility. (2)

• Entities manufacturing or selling nuclear power reactors or testreactors. (3)

• Architectural-engineering companies that are engaged inproviding services relating to a nuclear power reactor. (4)

• Applicants for, or holders of, certified standard designs. (5)

• Entities licensed or regulated by the Commission to mill,convert, enrich, fabricate, store, or dispose of source,byproduct or special nuclear material, or applicants for suchlicenses that are designated by the Commission because theyare or will be substantially engaged in such nuclear fuel cycleor disposal activities. (6)


Handbook 7.7


List of Prohibited Securities (B) (continued)

• The parent corporation of any subsidiary described incategories (1) through (6) above. (7)

• An energy or utility sector investment fund in which more than25 percent of its assets are invested in securities issued byentities described in categories (1) through (7) above. (8)

Certification of Compliance With the Security Ownership Restrictionand Other Notifications (C)

Upon appointment or conversion to a position covered by thesecurity ownership restriction, the employee will sign a certification(Exhibit 2) provided by the Office of Human Resources (HR) thatneither the employee nor the employee's spouse or minor childowns a security interest issued by an entity that is found on themost recently issued prohibited securities list. If the employee orthe employee's spouse or minor child owns any such interests, theemployee will sign a certification identifying the security interestsand describing divestiture plans. (1)

Each employee who is subject to the security ownership restrictionand who involuntarily acquires a prohibited security aftercommencement of duty through such means as inheritance,marriage, or gift must notify an OGC deputy counselor in writingwithin 30 days after acquisition of the prohibited security. (2)

Each employee who is subject to the security ownership restrictionwho owns, or whose spouse or minor child owns, a security that wasadded to the prohibited securities list must notify an OGC deputycounselor in writing within 30 days after publication of the list. (3)

Divestiture of a Prohibited Security (D)

Any employee appointed or converted to a position that is subjectto the security ownership restriction, or the employee's spouse or



Divestiture of a Prohibited Security (D)(continued)

minor child, shall divest the prohibited security within 90 days afterappointment to that position. (1)

Any employee subject to the security ownership restriction, or theemployee's spouse or minor child, who involuntarily acquires aprohibited security through such means as marriage, inheritance,or gift shall divest the prohibited security within 90 days afteracquisition. (2)

Any employee subject to the security ownership restriction, or thespouse or minor child of that employee, who owns a securityinterest in an entity at the time the entity is added to the prohibitedsecurities list published by OGC must divest the prohibited securitywithin 90 days after addition of the entity to the list. (3)

In cases of unusual hardship, the Chairman may extend the90-day period in which individuals subject to the securityownership restriction are required to divest the prohibitedasset. (4)

Certificate of Divestiture (E)

An NRC employee can, under certain circumstances, defer thepayment of capital gains taxes that would otherwise be due as aresult of the employee's sale or divestiture of security interestsrequired by NRC pursuant to 5 CFR 5801.102 by obtaining aCertificate of Divestiture (Exhibit 3) from the Office of GovernmentEthics (OGE). A special Government employee, however, cannotby law obtain a Certificate of Divestiture. (1)

NRC employees are to contact an OGC deputy counselor forinformation and advice on obtaining Certificates of Divestiture. (2)

Certificates of Divestiture can ordinarily be obtained in thefollowing circumstances: (3)


Handbook 7.7


Certificate of Divestiture (E) (continued)

• An employee newly appointed or converted to a position thatis subject to the security ownership restriction, or the spouseor minor child of the employee, holds security interests inentities on the NRC's prohibited securities list at the time ofappointment or conversion. (a)

• An employee, or the spouse or minor child of the employee,owns an interest in an entity at the time that it is added to theprohibited securities list. (b)

• An employee, or the spouse or minor child of the employee,involuntarily obtains prohibited securities through such meansas marriage, inheritance, or gift. (c)

• An employee, or the spouse or minor child of the employee,must divest an interest in an entity not on the prohibitedsecurities list because the employee is needed to work onmatters affecting that entity. (d)

• A trustee holds prohibited securities in a trust in which anemployee, or the spouse or minor child of the employee, hasa beneficial interest in principal or income. (e)

To defer the tax consequences arising from capital gains thatwould otherwise be incurred as a result of the forced sale ordivestiture of the prohibited security, an employee must obtaina Certificate of Divestiture before the security interest is soldor divested. (4)

To obtain a Certificate of Divestiture, an employee should submitto OGC a written request that contains the followinginformation: (5)

• The employee's title and a general job description. (a)

• A description of the security interest, including the precisenumber of shares to be divested (e.g., 100 shares of XCompany common stock). (b)




• An explanation of the facts and circumstances necessitatingdivestiture, including how and when the security was acquired.Examples include instances in which the employee inheritedstock after starting employment with NRC or a new employeeholds stock at commencement of employment. (See Exhibit 4.)The statement must also include an agreement to divest theprohibited securities no later than 3 months from the date theemployee became subject to the restriction or obtained theprohibited securities, unless an extension is granted. (c)

• A copy of the employee's most recent financial disclosurereport. An employee who is not required to file a financialdisclosure report under Management Directive 7.6, “Public andConfidential Financial Disclosure Reports,” must either submita completed confidential financial disclosure report (OGE Form450, which is available on the online forms icon) or amemorandum containing the information required to completean OGE Form 450. (d)

The General Counsel or the Alternate Designated Agency EthicsOfficial will submit the request for a Certificate of Divestiture toOGE and will provide the employee with the certificate when it isreceived from OGE. (6)

To defer the tax consequences of a forced sale, an employeemust, within 60 days from the date of sale of the security interest,invest the proceeds from the sale in “permitted property.” Thisproperty includes the following: (7)

• Obligations of the United States Government. (a)

• A “diversified investment fund” (mutual fund or registeredmoney market fund registered under the Investment CompanyAct of 1940 or unit investment trust regulated under 26 U.S.C.851 that does not have a stated policy of concentrating itsinvestments in any industry, business, single country [otherthan the United States] or bonds of a single State) that does


Handbook 7.7



not devote its investments to particular or limited industrial,economic, or geographic sectors. (b)

An employee who obtains a Certificate of Divestiture shouldcomplete and attach IRS Form 8824, “Like-Kind Exchanges”(Exhibit 5), to his or her Federal income tax return for the year thatthe divestiture occurred. IRS Form 8824 notifies the InternalRevenue Service that the employee is not required to pay a capitalgains tax for that year. (8)

Waiver Requests (F)

The Chairman may exempt an employee, or the employee'sspouse or minor child, from the security ownership restriction upona determination that the holding of the security is not inconsistentwith 5 CFR Part 2635 or otherwise prohibited by law, and that—(1)

• Under the circumstances, application of the prohibition is notnecessary to ensure confidence in the impartiality andobjectivity with which NRC programs are administered; (a)

• Legal constraints prevent divestiture; or (b)

• For a special Government employee, divestiture would resultin substantial financial hardship. (c)

The following are examples of situations warranting a waiverbecause of legal constraints preventing divestiture underparagraph (1)(b) above: (2)

• The prohibited security is held as part of the assets of a trustof which the employee is a beneficiary and where the trustee,who has sole authority to purchase and sell the assets, refusesthe employee's request to sell the prohibited security. (a)



Waiver Requests (F) (continued)

• The employee does not have title to the prohibited security fora specified period of time under the terms of the employmentplan of a former employer. (In this case, the employee mustdivest the prohibited security within 90 days of taking title.) (b)

The following is an example of circumstances in which anexemption for a special Government employee will presumably begranted because of substantial financial hardship under paragraph(1)(c) above: A newly appointed member of an advisory committeeholds prohibited securities at the time of appointment to thecommittee or subsequently acquires them involuntarily throughmarriage, gift, or inheritance. Because a special Governmentemployee is ineligible to receive a Certificate of Divestiture to deferthe payment of capital gains taxes, the sale of prohibited securitiescould result in a substantial financial hardship. Under thesecircumstances, newly appointed members granted a waiver couldnot acquire any more prohibited securities on their own accordafter appointment to these committees. The Commission wouldalso reserve the right to deny a waiver request if the holdings wereof such a magnitude that the individual would be required torecuse himself or herself from a significant number of matterslikely to come before the committee. (3)

The procedures to be followed in requesting a waiver of thesecurity ownership prohibition (Section (1) above) are asfollows: (4)

• An employee should submit a written statement to the GeneralCounsel or an OGC deputy counselor describing the securityinterest, including the number of shares held, how the interestwas obtained, and explaining why divestiture of the securityinterest, or disqualification from participating in a matter inwhich the employee holds a security interest, would beinequitable. (a)

• The General Counsel or an OGC deputy counselor will reviewthe employee's request and prepare a written recommendationfor the Chairman. (b)


Handbook 7.7


Waiver Requests (F) (continued)

• The Chairman will provide the employee with a writtendetermination either granting or denying the waiverrequest. (c)

The Chairman or the employee's office director or regionaladministrator may exempt an employee from the prohibitionagainst participating personally and substantially in a particularmatter affecting any entity that appears on the list of prohibitedsecurities during the period the employee or the employee'sspouse or minor child owns the security interest if the Chairman orthe employee's office director or regional administrator determinesthat the employee's interest is not so substantial as to be deemedlikely to affect the integrity of the services that NRC may expectfrom the employee. (5)

The procedures to be followed in requesting a waiver of theparticipation bar are as follows: (6)

• If, at the time the employee requests a waiver from theChairman that would permit ownership of the prohibitedsecurity interest, the employee knows that he or she needs toparticipate in matters affecting the entity, the waiver requestshould also include a request to work on matters affecting theentity that issued the prohibited security. (a)

• If, after the Chairman has granted a waiver authorizingownership of a prohibited security, the employee learns that heor she is needed to participate in matters affecting the entity,he or she should seek the necessary waiver from his or heroffice director or regional administrator. The office director orregional administrator shall consult with the General Counselor an OGC deputy counselor before acting on the request. (b)

Volume 7, Legal and Ethical GuidelinesSecurity OwnershipHandbook 7.7 Exhibits

1Position titles are intended to be generic and all-inclusive without regard to seniority.10 Approved: September 12, 2002

(Revised: January 27, 2006)

Exhibit 1NRC Positions Subject to the Security

Ownership Restriction1

Commissioners (1)

Inspector General (IG) (2)

Members of the Senior Executive Service (SES) (3)

Senior Level System (SLS) Employees (4)

Members of the Advisory Committee on Reactor Safeguards (ACRS) (5)

Members of the Advisory Committee on Nuclear Waste (ACNW) (6)

Administrative Judges and Administrative Law Judges(Including part-time members) (7)

Offices of the Commissioners (8)All positions, excluding support positions

Commission Staff Offices (9)

Office of Commission Appellate Adjudication (OCAA) (a)

Attorneys

Office of Congressional Affairs (OCA) (b)

Congressional Affairs Officers

Office of the General Counsel (OGC) (c)

Attorneys


Handbook 7.7 Exhibits


Exhibit 1 (continued)

Commission Staff Offices (9) (continued)

Office of International Programs (OIP) (d)

None

Office of Public Affairs (OPA) (e)

All positions, excluding support positions

Office of the Secretary of the Commission (SECY) (f)

• Technical Coordinators

• Information Management Specialist

Office of the Inspector General (OIG) (g)

• Auditors and Management Analysts

• Investigators

• Attorneys

• Director, Resource Management and Operations Support (RMOS)

• Senior Program Analyst (Personnel Officer)

• Senior Budget Analyst

• IT Specialist

• Technical Advisors




Committees and Boards (10)

Advisory Committee on Reactor Safeguards (ACRS)/Advisory Committee on Nuclear Waste (ACNW) (a)

Positions at GG-13 or above, excluding administrative or support positions

Atomic Safety and Licensing Board Panel (ASLBP) (b)

Attorneys

Office of the Chief Financial Officer (OCFO) (11)

• Senior License Fee Policy Analyst

• Chief, License Fee Team

• Chief, Accounts Receivable Team

• Deputy Director, Division of Planning, Budget, and Analysis

• Deputy Director, Division of Financial Services

• Deputy Director, Division of Financial Management

Offices That Report to the Executive Director for Operations (OEDO) (12)

Office of the Executive Director for Operations (a)

• Chief, Technical and Regional Programs Staff

• Coordinators

Office of Administration (ADM) (b)

None





Offices That Report to the Executive Director for Operations (OEDO) (12)(continued)

Office of Information Services (OIS) (c)

None

Office of Enforcement (OE) (d)

• Non-SES Supervisors

• Enforcement Specialists

• Allegations Specialists

Office of Human Resources (HR) (e)

None

Office of Investigations (OI) (f)

Investigators

Office of Nuclear Material Safety and Safeguards (NMSS) (g)


Office of Nuclear Reactor Regulation (NRR) (h)


Office of Nuclear Regulatory Research (RES) (i)





Offices That Report to the Executive Director for Operations (OEDO) (12)(continued)

Office Nuclear Security and Incident Response (NSIR) (j)


Office of Small Business and Civil Rights (SBCR) (k)

None

Office of State and Tribal Programs (STP) (l)


Regions (m)

• Positions at GG-12 or above, excluding administrative or support positions

• License Reviewers




Exhibit 2Security Ownership Certification

CERTIFICATION OF COMPLIANCE WITH THE NRC’S SECURITYOWNERSHIP RESTRICTION UPON APPOINTMENT TO COVERED POSITION

I have been appointed, promoted or transferred to a position that is covered by theNRC’s security ownership restriction. Therefore, I certify to one of the following:

I do not own, nor does my spouse or my minor child own, anystocks, bonds, or other security interests issued by an entity on theCommission’s current prohibited securities list.

I own, or my spouse or my minor child owns, the following stocks,bonds, or other security interests that are on the Commission’scurrent prohibited securities list.

Name of Prohibited Security Quantity Owned (#of Shares)

I understand that, pursuant to 5 CFR 5801.102 (d)(1), these security interests must bedivested within 90 days from the date that I assumed a position subject to the securityownership restriction. I also understand that I may not participate personally andsubstantially in particular matters affecting these entities until the divestiture of thesesecurities has taken place.

I will notify the Office of the General Counsel in writing when the divestiture has beencompleted. (Send to: Ethics Counselor, OWFN, Mail Stop, O15 - D21).

PRINT NAME NRC OFFICE

SIGNATURE DATE



Exhibit 3 Sample Certificate of Divestiture Issued by

the Office of Government Ethics




Exhibit 4Sample Employee Request for Certificate

of Divestiture

MEMORANDUM TO: Deputy Ethics CounselorOffice of the General Counsel

FROM: [EMPLOYEE NAME]_____________________ BranchDivision of ___________________Office of _____________________

SUBJECT: CERTIFICATE OF DIVESTITURE

I am a new NRC employee who began employment on [DATE]. I hold the position of[JOB TITLE and GENERAL JOB DESCRIPTION]. I own [EXACT NUMBER] of sharesof [NAME OF PROHIBITED SECURITY] stock, which I owned before my NRCemployment.

The [NAME OF PROHIBITED SECURITY] is on the list of entities whose securityinterests certain NRC employees are prohibited from owning. Under NRC regulations,I am required to divest myself of the [NAME OF PROHIBITED SECURITY] stock. I willdivest myself of these securities no later than three months after the date of myappointment to the NRC, unless I receive an extension. Therefore, I am requesting aCertificate of Divestiture from the Office of Government Ethics to defer the capital gainstax consequences of the divestiture.

If you need further information, please contact me at [TELEPHONE NUMBER].



Exhibit 5IRS Form 8824, “Like-Kind Exchanges”

u.s. nuclear regulatory commission · 2012. 11. 21. · 5 irs form 8824, “like-kind exchanges”...

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